LTPD (Lot Tolerance Percent Defective)

Category: Quality

Also searched as: LTPD

Definition (plain English)

Lot Tolerance Percent Defective is a defect level used in acceptance sampling to represent a poor-quality lot that should rarely be accepted.

Why it matters commercially

LTPD sets the downside quality risk a buyer is willing to tolerate before goods are shipped, paid for, or released to customers.

Example

A private-label buyer tightened the LTPD assumption after a supplier shipped mixed-label cartons that passed a loose visual check but created retailer rejection risk.

Common mistake

Using LTPD as a technical acronym without agreeing defect severity, sample size, acceptance number, and whether the result blocks payment or shipment.

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